Due dates for super payments
You need to pay and report super electronically to ensure it meets SuperStream requirements.
Super guarantee (SG) payments must be made to and received by complying super funds or retirement savings accounts (RSAs) by the quarterly due dates to avoid the super guarantee charge (SGC). These are 28 days after the end of each quarter and are also known as SG due dates (see the following table).
You make super contributions for eligible employees calculated from the day they start employment with you. Contributions are only considered as 'paid' on the date they are received by the super fund. This means you may need to allow extra time for the payments to be received, which is especially relevant if you use commercial clearing houses.
|
Quarter |
Period |
Payment due date |
|---|---|---|
|
1 |
1 July – 30 September |
28 October |
|
2 |
1 October – 31 December |
28 January |
|
3 |
1 January – 31 March |
28 April |
|
4 |
1 April – 30 June |
28 July |
When a due date falls on a weekend or public holiday, you can make the payment on the next working day.
You can make payments more regularly than quarterly if you want to (for example, fortnightly or monthly). This is as long as your total SG obligation for the quarter is received by the super fund by the due date.
Member personal super contributions
If you arrange with your employee to make after-tax super contributions on their behalf, the payments are referred to as personal super contributions. Make sure you pay these contributions promptly, in accordance with the employee's terms of employment and any legal requirement (for example, industrial award conditions).
Members' after-tax personal super contributions don't count towards your SG obligations.
Other contractual requirements
Meeting your SG obligations does not ensure you're complying with other contractual or award requirements.
Some super funds, awards and contracts require super to be paid more regularly (for example, monthly). When you register with a super fund with this requirement, you are agreeing to make contributions to that super fund on that basis, whether monthly or otherwise.
SuperStream payment options
SuperStream is the data standard you must use to report and pay employee SG contributions to super funds.
Under SuperStream, you need to pay super contributions for your employees electronically (electronic funds transfer or BPAY®). You also send the associated data electronically.
The data is in a standard format so it can be transmitted consistently across the superannuation system – between employers, funds, service providers and the ATO. It is linked to the payment by a unique payment reference number (PRN).
This means you can make all your contributions in a single transaction, even if they are going to multiple super funds.
To meet the SuperStream requirements, you need to pay super and send employee information electronically. You can use the following methods. You can also ask your accountant or bookkeeper to help you with one of these options.
If the only contributions you make are personal contributions for yourself or contributions to a related self-managed super fund (SMSF), you don't need to use SuperStream because these are excepted contributions.
Payroll system
If you use a payroll system, check with your software provider that it is SuperStream-compliant. You may need to update your software.
Some payroll systems cover data and payments and some are data only. This means you may need to make payments to each fund separately. Either way, the payment must be electronic (either electronic funds transfer or BPAY®).
Single Touch Payroll
The introduction of Single Touch Payroll (STP) means that the ATO receives payroll information (tax and super) on a payroll-event basis (weekly, fortnightly, monthly, other) through STP-enabled software.
Once an employer is STP-enabled, there are a range of employer benefits. For example:
- some employer-related ATO forms (such as the TFN declaration and Super standard choice form) are available via ATO online services in myGov
- employee payroll information (tax and super paid on their behalf) is also available to employees via ATO online services in myGov. See News, events and resources.
Reporting using STP is compulsory.
Your super fund's online system
Large super funds have online payment services you can use. Check with your super fund for details.
Super clearing house
A clearing house pays super to your employees' super funds for you. You send a single electronic payment to the clearing house together with the contribution data for all your employees. The clearing house does the rest.
If you have 19 or fewer employees, or a turnover of less than $10 million a year, you can use the free Small Business Superannuation Clearing House.
You can also choose from several commercial options or your super fund may have a clearing house you can use. Talk to your super fund to see what they offer.
Remember, even if you outsource some parts of making super contributions, you're still responsible for ensuring your employees' super contributions are paid correctly.
If you use a commercial clearing house, the employee's super contribution is counted as being paid on the date the super fund receives it, not the date the clearing house receives it from you. Check with your clearing house to make sure you allow enough time for your payments to be processed before the quarterly due dates.
Small Business Superannuation Clearing House
The Small Business Superannuation Clearing House (SBSCH or 'the clearing house') is a free service you can use if you are a business with either:
- 19 or fewer employees
- an annual aggregated turnover of less than $10 million.
You can make your SG contributions as a single electronic payment to the clearing house. It will then distribute the payments to each employee's super fund. It is SuperStream compliant.
The clearing house is accessed via the ATO's Online services for business, Online services for agents or ATO online services in myGov.
The contribution is counted as being paid to the fund when it is accepted by the SBSCH.
Messaging portal
A messaging portal can convert contribution data for your employees to a SuperStream compliant format. It will send this to the relevant funds for you. You still need to make one electronic payment. Talk to your messaging portal provider and financial institution.
Summary of Module 5
Remember, when paying super contributions:
- Pay at least quarterly by the relevant due dates of
- 28 October
- 28 January
- 28 April
- 28 July.
- You need to pay and report electronically to be SuperStream compliant
- There are a number of SuperStream methods of payment. Pick the one that best suits your business
- If you employ 19 or fewer employees or have an aggregated annual turnover of less than $10 million, you can use the free clearing house.
Return to Module 4: Calculating super guarantee.
Continue to Module 6: Rectifying late payments.